Post Office Box 1147  ●  Marblehead, Massachusetts 01945  ●  (781) 639-9709
“Every Tax is a Pay Cut ... A Tax Cut is a Pay Raise”

45 years as “The Voice of Massachusetts Taxpayers”
and their Institutional Memory

CLT News Release
Monday, May 6, 2019

Yes on S-1776 and H-2545
Roll Back the Sales Tax to 5%

To:  Members of the Joint Committee on Revenue
June 16, 2017
RE:  Yes on S-1776 and H-2545

It took 207 years in the storied history of Massachusetts to reach its first $10 Billion budget.

Then in 1989 the Dukakis "temporary" income tax hike package was needed to fund a $12.3 Billion budget.

In 2009 the Legislature passed and Gov. Patrick signed a tax increase package totaling $1 Billion more to fund a state budget of $27.4 Billion. That more than doubled state spending in just two decades. It included the 25 percent hike in the sales tax, from 5% to 6.25%.

Now, a mere decade later, the House of Representatives has passed its proposed state budget for the coming fiscal year that totals $42.8 Billion.

That is over $15 Billion more spending than just ten years ago; a 55 percent spending increase.

Even when adjusted for inflation, that 2009 budget would be the equivalent to $32.9 Billion in 2019 dollars. The currently proposed House budget seeks to spend an adjusted increase of $10 Billion over just one decade ago.

Taxes simply cannot continue to be piled upon past tax increases over and over, new taxes devised and imposed in perpetuity, to spend ever more. There is a limit, if Massachusetts is to avoid further crushing productive taxpayers or chasing even more of them out of the commonwealth.

The sales tax was hiked from 5% to 6.25% in 2009. Spending has increased by 55 percent since then. With that amount of revenue (taxpayers' money) pouring in and being spent as quickly as it arrives, the state can certainly "afford" to roll back the sales tax to 5 percent -- and the Legislature certainly does not need to confiscate more of taxpayers' hard-earned income -- what remains of it.

So of course Citizens for Limited Taxation supports (S-1776) sponsored by Senate Minority Leader Bruce Tarr and (H- 2545) sponsored by Rep. Marc Lombardo, to roll back the state sales tax to 5 percent.

Though rolling back the sales tax is a small recognition for the many sacrifices made by taxpayers to fund all of state government, it would demonstrate a degree of appreciation.

We hope that you too will appreciate this is well past due.

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Citizens for Limited Taxation    PO Box 1147    Marblehead, MA 01945    (781) 639-9709